Marketing contracts

7-58-702. Marketing contracts. (1) If a marketing contract provides for the sale of products, commodities, or goods to a limited cooperative association, the sale transfers title to the association upon delivery or at any other specific time expressly provided by the contract. (2) A marketing contract may: (a) Authorize a limited cooperative association to create an enforceable security interest in the products, commodities, or goods delivered; and (b) Allow the association to sell the products, commodities, or goods delivered and pay the sales price on a pooled or other basis after deducting selling costs, processing costs, overhead, expenses, and other charges. (3) Some or all of the provisions of a marketing contract between a patron member and a limited cooperative association may be contained in the articles or bylaws. Source: L. 2011: Entire article added, (SB 11-191), ch. 197, p. 789, � 1, effective April 2, 2012.